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Unitrans extends transport agreement with Pick n Pay by 10 years

17 April 2018 - 14:29
Neels Blom

Picture: SUPPLIED

Unitrans, a wholly owned subsidiary of JSE-listed industrial holding company KAP, extended its transport agreement with retailer Pick n Pay by 10 years following an eight-year partnership, the companies announced on Tuesday.

Pick n Pay’s Longmeadow distribution centre in Edenvale, Gauteng, is the hub from which Unitrans Supply Chain Solutions operates a fleet of 327 vehicles. The operation services 455 Pick n Pay stores in Gauteng as well as Botswana, Namibia, Swaziland and Lesotho.

Unitrans is part of KAP’s diversified logistics unit. The unit contributed R8.65bn to KAP’s revenue in the year to June 30 2017. It competes with logistics companies Super Group and Grindrod, among others.

Statistics SA puts the outsourced road freight payload in the country at about 566-million tonnes, generating revenue of R90.88bn for the 10 months from January to October 2017. This number accounts for about half the total freight moved within SA, with the balance insourced. The demand for freight transport in SA is expected to grow by between 200% and 250% over the next 15 to 20 years.